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Calculate the issue price of the bond

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Reference no: EM133155740

Question - On January 1, 2020, Maple Bear Ltd. issued $300,000 of 25-year, 7% bonds that pay interest semi-annually on June 30 and December 31. Market rate interest is 6% compounded semi-annually.

Required -

A) Calculate the issue price of the bond using a financial calculator by showing the WORK.

B) Prepare the January 1, 2020 journal entry.

C) Calculate the interest included in the 2nd coupon payment.

Reference no: EM133155740

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